A MEGA BRAND OF DECADES STANDING CAN HAVE EXPENSIVE AND RAPID BRAND-EROSION IF CONTROVERSIAL BUSINESSES PURSUED

A MEGA BRAND OF DECADES STANDING CAN HAVE EXPENSIVE AND RAPID BRAND-EROSION IF CONTROVERSIAL BUSINESSES PURSUED

Dear Readers,

The Brand-Erosion of a Mega Brand of Decades Standing can be Rapid and Expensive, if Controversial Businesses are pursued.

In very simple terms I am saying before all of you, the Branding Exercise of Agricultural Products as "Organic" can be always controversial and a finger can be easily pointed at such Brand Extensions of a Mega Brand of Decades Standing and the Mega Brand can have very Rapid and Expensive-Brand Erosion.

In Reality.... it will be always very difficult to prove what is Organic and what is Not-Organic in case of Agricultural Products, as the Science does not understand and does not define what is Organic and Non-Organic, the Science has travelled too far.

There are, not denied, some standards have been defined over time for calling some Agricultural produce as "Organic", based on Agricultural Inputs and Crop Production Practices based on traditional agriculture, however, it is evolved over a period of time, so to say "A Commercial Niche" only, and largely notional and highly impractical to prove and establish.

I am aware, there are some entities, so far, they are mostly smaller entities, who have been trying to capitalize some businesses in the name of Organic Agricultural Produce, I see some products being placed in some Super Markets in Mumbai. They do some business out of it that can not be denied and they exist, however, when a Mega Brand tries to put hand in such Controversial Brand Extensions, chances of fingers getting burnt in some way and Brand-Erosion can not be ruled out.

What I am saying here are based on my expertise and in-depth understanding of Agricultural Science and Technology which I studied at my Graduation, for 4-years definitely as a Good and Bright Student within my merit. The Friends Concerned can accept or reject as per their convenience and willingness to do so.

1.      If you ask any Good Agricultural Scientist and Technologist, he/she will never define if the Agricultural Science differentiates  somethings of Agricultural produce as Organic and Non-Organic at all. The "Organic" concept being commercially used and being commercially explored, is linked to traditional beliefs and linking to ancient practices of Agriculture when the Agricultural Science had not developed and the Modern Age Agricultural Inputs such as Chemical Fertilizers and Pesticides were not invented.

2.       The Commercial Connotation of Organic Agricultural Produce is being pointed at primarily:

a) Non-use of Chemical Fertilizers

b) Non-use of Chemical Pesticides

3.      If Agricultural Crops have to be grown by non-use of Chemical Fertilizers, then what is to be used ?

In simple terms it is the Manure to be used, that could be Decomposed Plant or Animal Waste. Cow Dung ( or Buffalo Dung or any Animal Dung ) is the largely used Traditional Manure (Natural Fertilizer) for Agriculture for Ages. Can anybody say, the Cow Dung / Buffalo Dung of today is "Organic" ? No, now a days it is simply not possible. Because the Cows/Buffaloes/Cattle of today, are being fed with Animal Feed mixed with all kinds of Chemical Ingredients for Nutrition and More Milk Production, and similarly the Fodder as Crop Residues also fed to the cattle today, are all laced with Chemical Pesticide Residues which get used during its related crop production. When the Cow Dung (Or Animal Dung ) can not be called Organic today in true sense, then...... it will be very difficult to say by using it the crop produced is Organic.

Yes, there are some Bio-Fertilizers produced now a days through Laboratory Processes, but economics of its use can have lot of limitation, then those laboratory processes are also not without use of some types of Chemicals.

4.       If Agricultural Crops have to be grown by non-use of Chemical Pesticides,  then what is to be used ? 

a)     Manual/Mechanical killing of all pests of the Crops, the crops can not without pests... Manual/Mechanical killing of all the pests of the crops is not possible, they will be there to destroy the Out-put Quality of Agricultural Produce in some way or other.

b)    Use of Bio-Pesticides like Plant Extracts/Oils (Neem Oil and Karanja Oil are some examples ) and Micro-Organism Bio-Pesticides like Bacterial Origin, have severe limitation of efficacy and economy of scale in the present times, in future also, it may not be very effective and conducive as environment keeps changing.

In Summary, it is not really very practicable for a Mega Brand, to do a Brand Line-Extension of Organic Agricultural Produce ( as Food Stuff ) to market in Very Large Scale to generate Huge Volumes and Value of Business as "Organic Products" of the Maga Brand. It can be very controversial and can cause Rapid Brand-Erosion in the eventuality of controversies erupt in the marketing domain.

Many in the Market do marketing and sell the Bulk Agricultural Products (Food Stuff) as normal and common products and not calling it as "Organic", they also do huge volumes and values, that can be done by any Mega Brand, nobody prevents, it will not attract controversies.

I am aware I wrote this note in a very crude form in very concise manner that I could do the best, but the messages of this note are very clear.

I wrote these few lines of this note, by spending valuable time, for the benefit of Friends who may be concerned in this area of business, and to say very friendly and most respectfully without naming anywhere, however, "the Friends" if they spare few minutes to read it and take cognizance of what I said above, for their benefit, my effort and time spent in writing this note will get its value.

Best regards,

Dr. Nimain Charan Biswal,

Mumbai, India

About the Author: Dr. Nimain Charan Biswal is a B.Sc.(Agri. Science and Technology), M.B.A. and Ph.D.(Management Area ) by qualifications; and he has 38+ years of work experience in both industrial and development sectors in diversified fields of social importance. He has been educated at Orissa University of Agriculture and Technology (OUAT)-Bhubaneswar, Institute of Rural Management Anand (IRMA) and Gujarat University (with Resource Support of IIM-Ahmedabad). He is further educated at IIM-Calcutta, XLRI-Jamshedpur, Apple Computer Industries and Spar Inc., USA. He has worked for reputed National and International Organizations in Senior/Top Management Capacities at Board level as well as Managing Director and CEO. He is a management expert covering extensive areas from management in industrial sectors, management in agriculture and dairy, development management to management of public systems. He is a prominent professional of India and known Internationally as well. He lives at Mumbai in India.